The allegations triggered concern among investors, causing Singamas shares to fall significantly on the Hong Kong stock market as fears grew over the possible legal and financial consequences facing the company.

According to the DOJ, Teo and seven other executives from four major container manufacturing companies are accused of secretly coordinating container production levels and manipulating global prices between 2019 and 2024. Investigators claim the companies worked together to reduce supply and inflate prices during a period when global shipping demand was surging, particularly during the COVID-19 pandemic.

US prosecutors said the alleged scheme contributed to a dramatic increase in container prices worldwide. Between 2019 and 2021, the cost of standard shipping containers reportedly nearly doubled as supply chain disruptions affected international trade. Authorities believe the companies involved generated massive profits while businesses across the world struggled with rising transportation costs and shipping delays.

Other firms named in the investigation include China International Marine Containers, CXIC Group Containers, and Shanghai Universal Logistics Equipment.

Despite the accusations, Singamas released a statement saying neither the company nor Teo Siong Seng had officially received legal documents or formal charges from US authorities. The company stressed that operations continue normally and confirmed it has hired international legal advisors to respond to the matter.

Teo Siong Seng is widely recognized as one of Singapore’s most influential shipping industry figures. Besides leading Singamas, he also serves as chairman of the Singapore Business Federation and has held several important positions within Singapore’s business and economic sectors. His involvement in the case has therefore attracted major attention both in Singapore and internationally.

Analysts say the investigation could have far-reaching consequences for the global shipping and logistics industry. The case may also intensify tensions between the United States and China over trade practices and industrial competition, especially in sectors considered strategically important to global commerce.